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Texas launches new investigation into Houston's power utility following deadly outages after Beryl

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The latest investigation of CenterPoint Energy comes after state regulators and Republican Gov. Greg Abbott have also demanded answers about storm preparations and the response to Beryl. Photo via Getty Images

Texas' attorney general launched an investigation Monday into Houston's electric utility over allegations of fraud and waste following Hurricane Beryl, adding to the mounting scrutiny after widespread power outages left millions without electricity for days.

The latest investigation of CenterPoint Energy comes after state regulators and Republican Gov. Greg Abbott have also demanded answers about storm preparations and the response to Beryl, a Category 1 hurricane that knocked out power to nearly 3 million people around the nation’s fourth-largest city.

The storm was blamed for at least three dozen deaths, including those of some residents who died in homes that were left without air conditioning in sweltering heat after the storm's passage.

“My office is aware of concerning allegations regarding CenterPoint and how its conduct affected readiness during Hurricane Beryl,” Ken Paxton, the state's Republican attorney general, said in a statement. “If the investigation uncovers unlawful activity, that activity will be met with the full force of the law.”

The utility pledged its support of the investigation.

“We look forward to cooperating with the Texas Attorney General or any other agency and have made clear our commitment to upholding the values of our company,” CenterPoint spokesperson John Sousa said.

Paxton did not cite any specific allegations of waste or fraud in his announcement and his office did not respond to requests for comment.

Abbott has demanded answers from CenterPoint for what he called its slow restoration efforts and poor communication with customers in the days leading up to the storm. The state's Public Utility Commission has launched its own investigation, and lawmakers grilled the company’s top executive over its failures at a hearing last month.

CenterPoint has largely defended its storm preparedness and said that it deployed thousands of additional workers to help restore power. The utility provider has also begun a monthslong plan to replace hundreds of wooden utility poles and double its tree-trimming efforts after the governor pressed for swift action.

Beryl damaged power lines and uprooted trees when it made its Texas landfall on July 8. It’s the latest natural disaster to hit Houston after a powerful storm ripped through the area in May, leaving nearly 1 million people without power.

Many residents fear that chronic outages have become the norm after Texas’ power grid failed amid a deadly winter storm in 2021.

CenterPoint has previously faced questions over the reliability of Houston's power grid.

In 2008, Hurricane Ike, a Category 2 storm, knocked out power to more than 2 people million and it took 19 days to fully restore electricity. The city of Houston created a task force initiative to investigate the company's response and determined it needed to automate parts of its grid to minimize outages.

CenterPoint received millions of dollars in federal funding to implement this technology years ago. However, according to executive vice president Jason Ryan, it's still a work in progress.

Some utility experts and critics say the company hasn’t adapted its technology fast enough to meet the extreme weather conditions Texas will continue to face.

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Power finally was restored to most by last week, after over a week of widespread outages. Photo via Getty Images

Heat-related Texas deaths climb after Beryl left millions without power for days or longer

ripple effects

As the temperature soared in the Houston-area home Janet Jarrett shared with her sister after losing electricity in Hurricane Beryl, she did everything she could to keep her 64-year-old sibling cool.

But on their fourth day without power, she awoke to hear Pamela Jarrett, who used a wheelchair and relied on a feeding tube, gasping for breath. Paramedics were called but she was pronounced dead at the hospital, with the medical examiner saying her death was caused by the heat.

“It’s so hard to know that she’s gone right now because this wasn’t supposed to happen to her,” Janet Jarrett said.

Almost two weeks after Beryl hit, heat-related deaths during the prolonged power outages have pushed the number of storm-related fatalities to at least 23 in Texas.

The combination of searing summer heat and residents unable to power up air conditioning in the days after the Category 1 storm made landfall on July 8 resulted in increasingly dangerous conditions for some in America’s fourth-largest city.

Beryl knocked out electricity to nearly 3 million homes and businesses at the height of the outages, which lasted days or much longer, and hospitals reported a spike in heat-related illnesses.

Power finally was restored to most by last week, after over a week of widespread outages. The slow pace in the Houston area put the region's electric provider, CenterPoint Energy, under mounting scrutiny over whether it was sufficiently prepared.

While it may be weeks or even years before the full human toll of the storm in Texas is known, understanding that number helps plan for the future, experts say.

What is known about the deaths so far?

Just after the storm hit, bringing high winds and flooding, the deaths included people killed by falling trees and people who drowned when their vehicles became submerged in floodwaters. In the days after the storm passed, deaths included people who fell while cutting limbs on damaged trees and heat-related deaths.

Half of the deaths attributed to the storm in Harris County, where Houston is located, were heat related, according to the Harris County Institute of Forensic Sciences.

Jarrett, who has cared for her sister since she was injured in an attack six years ago, said her “sassy” sister had done everything from owning a vintage shop in Harlem, New York, to working as an artist.

“She had a big personality,” Jarrett said, adding that her sister had been in good health before they lost electricity at their Spring home.

When will a complete death toll be known?

With power outages and cleanup efforts still ongoing, the death toll likely will continue to climb.

Officials are still working to determine if some deaths that have already occurred should be considered storm related. But even when those numbers come in, getting a clear picture of the storm's toll could take much more time.

Lara Anton, a spokesperson for the Texas Department of State Health Services, which uses death certificate data to identify storm-related deaths, estimated that it may not be until the end of July before they have even a preliminary count.

In the state's vital statistics system, there is a prompt to indicate if the death was storm related and medical certifiers are asked to send additional information on how the death was related to the storm, Anton said.

Experts say that while a count of storm-related fatalities compiled from death certificates is useful, an analysis of excess deaths that occurred during and after the storm can give a more complete picture of the toll. For that, researchers compare the number of people who died in that period to how many would have been expected to die under normal conditions.

The excess death analysis helps count deaths that might have been overlooked, said Dr. Lynn Goldman, dean of the Milken Institute School of Public Health at George Washington University.

What do different toll numbers tell us?

Both the approach of counting the death certificates and calculating the excess deaths have their own benefits when it comes to storms, said Gregory Wellenius, director of the Boston University School of Public Health's Center for Climate and Health.

The excess death analysis gives a better estimate of the total number of people killed, so it's useful for public health and emergency management planning in addition to assessing the impact of climate change, he said.

But it “doesn't tell you who," he said, and understanding the individual circumstances of storm deaths is important in helping to show what puts individual people at risk.

“If I just tell you 200 people died, it doesn't tell you that story of what went wrong for these people, which teaches us something about what hopefully can we do better to prepare or help people prepare in the future,” Wellenius said. ___

The repair crews working on getting the lights back on are facing unhappy residents. Photo via Getty Images

Houston crews deal with disgruntled residents over power outages after Beryl

Houston, we have a problem

Drawn guns. Thrown rocks. Threatening messages. Houston’s prolonged outages following Hurricane Beryl has some fed-up and frustrated residents taking out their anger on repair workers who are trying to restore power across the city.

The threats and confrontations have prompted police escorts, charges in at least two cases, and pleas from authorities and local officials to leave the linemen alone so they can work.

Beryl knocked out power to nearly 3 million people in Texas — with most of those in the Houston area — after making landfall July 8. The Category 1 storm unleashed heavy rain and winds that uprooted trees and damaged homes and businesses along the Texas Coast and parts of Southeast Texas. State authorities have reported 18 deaths from Beryl. In the Houston area, some have been due to heat exposure following the loss of power, according to the medical examiner’s office in Harris County.

As of Tuesday, crews were still working to restore power to some residents.

“Linemen are our friends and are doing their job. Do not threaten them. I understand you’re angry and mad and frustrated, but let’s get through this together,” Mayor John Whitmire said during a news conference on Monday.

Houston police have investigated at least five cases involving threats made to workers and other employees, whether in person or online.

In one of these cases, police arrested Anthony Leonard, 38, charging him with aggravated assault with a deadly weapon. Authorities allege Leonard on Saturday threw rocks and pointed a gun at a group of CenterPoint Energy workers who were at a staging area.

Leonard remained jailed Tuesday. His attorney did not immediately return a call seeking comment.

CenterPoint CEO Jason Wells said over 100 line workers had to be evacuated from the staging area on Saturday. He said such threats are counterproductive as crews have to be moved to safer areas, delaying their work.

“So many of our fellow Houstonians have addressed this situation with patience and grace. And I want to thank them. But unfortunately, there have been instances where either acts of violence have been threatened or actually committed against our crews that are working this vital restoration. This is unacceptable. The safety of our crews is paramount,” Wells said.

KPRC reported that a charge of making a terroristic threat has been filed against a woman from the Houston suburb of Baytown. The Texas Department of Public Safety alleges the woman made multiple online threats of murder, assault and deadly conduct against employees, including Wells, at CenterPoint’s headquarters in downtown Houston. The woman has not been arrested.

Chief Deputy Mike Lee with the Harris County Sheriff’s Office said his agency has investigated a break-in of a CenterPoint vehicle and three cases where residents refused to let linemen enter their properties.

Ed Allen, business manager for the International Brotherhood of Electrical Workers Local Union No. 66, which represents workers at CenterPoint, said in 42 years in this industry, he’s never seen a response like this where workers are being threatened.

Allen said he spoke to one crew that said while they were working in a suburban Houston neighborhood, several men stood across the street from them and held an assault type rifle in a menacing way.

“It is very disheartening to see the community that I’ve worked in and that I’ve dedicated my life to provide electricity to act the way they have during this event,” Allen said.

Crews on Tuesday told Allen they haven’t received any new threats.

“I hope it’s gotten better out there. Part of that I think has a lot to do with the fact that regardless of what anybody thinks, the restoration effort has gone really well,” Allen said.

As of late Tuesday afternoon, CenterPoint reported that less than 82,000 customers remained without power.

On Tuesday, Gov. Greg Abbott sent a letter to CenterPoint demanding information from the company, including what actions it will take to reduce or eliminate power outages during future storms and how it will improve communication with its customers before, during and after a weather event.

“Texans must be able to rely on their energy providers to keep the power flowing, even during hurricane season. It is your responsibility to properly prepare for these foreseen incidents and work tirelessly to restore power as quickly as possible when it is lost. Anything less is unacceptable,” Abbott wrote.

In a statement, CenterPoint said it's addressing Abbott's request and that its work with officials and community leaders to increase the resiliency of the electric grid is essential in "creating and sustaining an environment in Texas where people want to live and build their businesses.”

Harris County Commissioner Adrian Garcia said the threats to CenterPoint workers and out-of-town crews only makes “it harder and longer to get your lights back on.”

“These folks are just here trying to help. Let them do their work and help us and tomorrow will be a better day,” Garcia said.

With frustration growing, a CenterPoint Energy executive faced a barrage from city leaders who wanted to know why it was taking so long to get the lights back on again. Photo via Getty Images

CenterPoint Energy faces increased pressure to quickly restore service as city sweats after Beryl

heating up

Pressure mounted Wednesday on Houston’s power utility as millions of residents still had no electricity nearly three days after Hurricane Beryl made landfall, stoking questions over how a city that is all too familiar with destructive weather was unable to better withstand a Category 1 storm.

With frustration growing as Houston residents spent another sweltering day in search for places to cool off, fuel up and grab a bite to eat, a CenterPoint Energy executive faced a barrage from city leaders who wanted to know why it was taking so long to get the lights back on again. Mayor John Whitmire bluntly called on the utility to do a better job.

“That’s the consensus of Houstonians. That’s mine,” Whitmire said.

Late Wednesday, CenterPoint Energy said it had “restored more than 1 million of the 2.26 million customers impacted by Hurricane Beryl in the first 55 hours of its restoration efforts, and continues to focus on restoring customers without power.”

“Based on its continued progress, the company expects to have an additional 400,000 customers restored by the end of the day on Friday, July 12 and an additional 350,000 customers restored by the end of the day on Sunday, July 14,” the utility's statement said.

Beryl came ashore as a Category 1 hurricane, the weakest type, but has has been blamed for at least seven U.S. deaths — one in Louisiana and six in Texas. Earlier, 11 died in the Caribbean.

The storm's lingering impact for many in Texas, however, was the wallop to the power supply that left much of the nation's fourth-largest city sweltering days later in hot and humid conditions that the National Weather Service deemed potentially dangerous.

“Maybe they thought it wasn't going to be so bad, but it's had a tremendous effect. They needed to be better prepared,” construction worker Carlos Rodriguez, 39, said as he gathered apples, oranges and ready-to-eat meal packs at a food distribution center. His family, with two daughters ages 3 and 7, was struggling, he said.

“We have no power, we're going to bed late and I’m using a fan made out of a piece of cardboard to give my kids some relief,” Rodriguez said.

Hospitals were sending patients who could not be released to homes with no power to a sports and event complex where an area was set up to hold as many as 250 people. As of late Wednesday afternoon, about 40 patients had arrived and about 70 to 75 others were on their way, Office of Emergency Management spokesman Brent Taylor said.

Power outages peaked at 2.7 million customers after the storm made landfall Monday, according to PowerOutage.us.

As of late Wednesday afternoon there were 1.6 million customers without power in the Houston area, including 1.3 million CenterPoint customers.

Brad Tutunjian, the CenterPoint vice president for regulatory policy, defended the company’s response while facing pointed questions from the City Council and said more than 1 million customers had their power restored by Wednesday.

“To me, I think that’s a monumental number right there,” Tutunjian said.

The company acknowledged that most of the 12,000 workers it brought in to help the recovery were not in the Houston area when the storm arrived. Initial forecasts had the storm blowing ashore much farther south along the Gulf Coast, near the Texas-Mexico border, before it headed toward Houston.

CenterPoint would not ask third-party workers from other companies and municipalities to pre-position and “ride out” the storm “because that is not safe,” Tutunjian said. Instead they are asked to be as close as possible to respond after the storm moves through.

One major difficulty with Beryl was restoring power knocked out by fallen trees and branches, Tutunjian said.

“When we have storms such as this, with the tree completely coming down … taking out our lines and our poles, that’s where all the time comes in to do the restoration work,” he said.

But council members pressed for answers about why CenterPoint, which has been the Houston area for about 100 years, hasn't been more aggressive in trimming trees during calm weather or putting more of its power lines underground. The company has been putting new lines underground in residential areas for decades, Tutunjian responded.

Two council members said they received a text about a house that burned down after reporting a downed power line. The texts reported the fire department said it could not do anything, and the utility did not respond. City Council member Abbie Kamin called the extended lack of power a “life safety concern.”

It's hardly the first time the Houston area has faced widespread power outages.

In 2008, Hurricane Ike made landfall on Galveston Island as a Category 2 storm, causing flooding and wind damage to the Houston area. It left about 2.2 million CenterPoint customers without power, according to the Harris County Flood Control District, which said that 75% of the power was restored within 10 days.

Houston was also hit hard in 2021 when Texas’ power grid failed during a deadly winter storm that brought plunging temperatures, snow and ice. Millions lost power and were left to ride out the storm in frigid homes or flee.

As recently as May, storms killed eight people and left nearly a million customers without power.

Gov. Greg Abbott, who is in Asia on an economic development trip, questioned why Houston has repeatedly been plagued with power problems after severe weather. In an interview with Austin television station KTBC, Abbott, who has been governor since 2014, said he would direct the Texas Public Utility Commission to investigate that, as well as the preparations for and response to Beryl.

“CenterPoint will have to answer for themselves, if they were prepared, if they were in position,” Lt. Gov. Dan Patrick, who was acting governor with Abbott away, said Tuesday. “Their company is responsible for that. The state was in position.”

Sharon Carr, 62, a lifelong Houston resident, was frustrated.

“Every little thing affects us that way. There’s too much wind, we don’t have power. It’s raining a long time, we don’t have power,” Carr said. ”And it takes three, four, five days to get it back up. Sometimes that’s too long for people that are sickly, can’t stand the heat or don’t have transportation to get to cooling centers.”

Raquel Desimone, who has lived in the area since about 2000 and experienced many storms, was surprised at having to scramble yet again for power and shelter.

“I went through Rita, Ike, Imelda and Harvey,” Desimone said. “That the infrastructure can’t handle a basic storm, leaving for a Category 1, (it) is sort of crazy to me that I’m having to do this.”

It will take days to recover from Hurricane Beryl. Photo by Brandon Bell/Getty Images

Houston residents face high temperatures after storm Beryl leaves millions without power

lights out

The return of searing heat in the Houston area has deepened the misery for people still without power after Hurricane Beryl left residents in search of places to cool off and fuel up as the extended outages strained one of the nation’s largest cities.

More than 1.7 million homes and businesses in Texas lacked electricity Wednesday morning, down from a peak of over 2.7 million on Monday, according to PowerOutage.us. State officials faced questions over whether the power utility that covers much of the area had sufficiently prepared.

Texas Lt. Gov. Dan Patrick said that a sports and event complex would be used to temporarily hold up to 250 hospital patients who are awaiting discharge but cannot be released to homes with no power.

Beryl, which made landfall in Texas early Monday as a Category 1 hurricane, has been blamed for at least seven U.S. deaths — one in Louisiana and six in Texas — and at least 11 in the Caribbean. It weakened as it moved deeper into the U.S. and early Wednesday was a post-tropical cyclone centered over northeastern Indiana.

A flood watch was in effect for parts of Illinois, Indiana, Michigan, New York, Vermont, New Hampshire and Maine. The storm spawned suspected tornadoes in parts of Indiana and Kentucky.

In the Houston area, Beryl compounded and repeated the misery of May, when storms killed eight people and left nearly 1 million without power.

High temperatures Tuesday climbed into the 90s (above 32.2 Celsius) with humidity that made it feel even hotter. Similar heat and humidity were expected Wednesday. The National Weather Service described the conditions as potentially dangerous, given the lack of power and air conditioning.

People coped as best they could. Kyuta Allen took her family to a Houston community center to cool down and use the internet.

“During the day you can have the doors open, but at night you’ve got to board up and lock up — lock yourself like into a sauna,” she said.

An executive for CenterPoint Energy, which covers much of the Houston area, defended the utility’s preparation and response.

“From my perspective, to have a storm pass at 3 p.m. in the afternoon, have those crews come in in the late evening, and have everything ready by 5 a.m. to go out and get out and start the workforce is rather impressive, because we’re talking about thousands of crews,” said Brad Tutunjian, vice president of regulatory policy.

Nim Kidd, head of the state’s division of emergency management, stressed that restoring power was the top priority.

Patrick, who is acting as governor while Gov. Greg Abbott is overseas, said nursing homes and assisted living centers were the highest priority. Sixteen hospitals ran on generator power Tuesday morning, according to the Federal Emergency Management Agency.

Beryl is lashing Houston with high winds and hard rain. Graphic via YouTube

Hurricane Beryl knocks out power to 1 million as it hits Houston

stay safe

The AP estimates the population without power in the Houston area has risen to 2 million.

Power outages are mounting along the Texas coast after Beryl came ashore on July 8 and lashed Houston with heavy rains and powerful winds as the storm moved inland.

More than 1 million homes and businesses were without power hours after Beryl made landfall, according to CenterPoint Energy in Houston. High waters quickly began to close streets across Houston and flood warnings were in effect across a wide stretch of the Texas coast.

The National Weather Service expected Beryl to weaken to a tropical storm Monday and a tropical depression Tuesday, forecasting a turn to the northeast and increase in speed Monday night and Tuesday. The storm reached the U.S. after leaving a trail of destruction over the last week in Mexico and the Caribbean.

The storm's center hit land as a Category 1 hurricane around 4 a.m. about 85 miles southwest of Houston with top sustained winds of 80 mph (128.7 kph) while moving north at 12 mph (19.3 kph), the National Weather Service reported. On Monday morning, the storm had maximum sustained winds of 75 mph (120 kph).

High waters quickly began closing roads around Houston, which was again under flood warnings after heavy storms in recent months washed out neighborhoods and knocked out power across the nation’s fourth-largest city.

More than 1,000 flights have been canceled at Houston’s two airports, according to tracking data from FlightAware.

Beryl dumped soaking rains across Houston after coming ashore and was expected to bring damaging winds into East Texas, near Louisiana, as the storm pushed north after making landfall.

“Beryl’s moving inland but this is not the end of the story yet,” said Jack Beven, senior hurricane specialist at the National Hurricane Center.

Beryl strengthened and became a hurricane again late Sunday. The storm had weakened after leaving a path of deadly destruction through parts of Mexico and the Caribbean.

A hurricane warning remains in effect for the Texas coast from Mesquite Bay north to Port Bolivar, the center said.

The storm's center is expected to move over eastern Texas on Monday and then through the lower Mississippi Valley into the Ohio Valley on Tuesday and Wednesday, the weather service said.

People on the Texas coast boarded up windows and left beach towns under an evacuation order. As the storm neared the coast Sunday, Texas officials warned of power outages and flooding but also expressed worry that not enough residents and beach vacationers in Beryl’s path had heeded warnings to leave.

“One of the things that kind of trigger our concern a little bit, we’ve looked at all of the roads leaving the coast and the maps are still green,” said Texas Lt. Gov. Dan Patrick, who is serving as the state’s acting governor while Gov. Greg Abbott is travelling overseas. “So we don’t see many people leaving.”

Tropical storm winds extended 115 miles (185 kilometers) from the center and the hurricane center warned residents to be prepared for possible flash flooding in parts of middle, upper and eastern Texas as well as Arkansas as the storm gradually turns to the north and then northeast later Monday.

Along the Texas coast, many residents and business owners took the typical storm precautions but also expressed uncertainty about the storm’s intensity.

In Port Lavaca, Jimmy May fastened plywood over the windows of his electrical supply company and said he wasn’t concerned about the possible storm surge. He recalled his business had escaped flooding in a previous hurricane that brought a 20-foot (6-meter) storm surge.

“In town, you know, if you’re in the low-lying areas, obviously, you need to get out of there,” he said.

At the nearby marina, Percy Roberts showed his neighbor Ken Waller how to properly secure his boat as heavy winds rolled in from the bay Sunday evening.

“This is actually going to be the first hurricane I’m going to be experiencing,” Waller said, noting he is a little nervous but feels safe following Roberts’ lead. “Pray for the best but expect the worst, I guess.”

The earliest storm to develop into a Category 5 hurricane in the Atlantic, Beryl caused at least 11 deaths as it passed through the Caribbean on its way to Texas. The storm ripped off doors, windows and roofs with devastating winds and storm surge fueled by the Atlantic’s record warmth.

Three times during its one week of life, Beryl has gained 35 mph (56 kph) in wind speed in 24 hours or less, the official weather service definition of rapid intensification.

Beryl’s explosive growth into an unprecedented early whopper of a storm indicates the hot water of the Atlantic and Caribbean and what the Atlantic hurricane belt can expect for the rest of the storm season, experts said.

Texas officials warned people along the entire coastline to prepare for possible flooding, heavy rain and wind. The hurricane warning extended from Baffin Bay, south of Corpus Christi, to Sargent, south of Houston.

Beryl lurked as another potential heavy rain event for Houston, where storms in recent months have knocked out power across the nation’s fourth-largest city and flooded neighborhoods. A flash flood watch was in effect for a wide swath of the Texas coast, where forecasters expected Beryl to dump as much as 10 inches (25 centimeters) of rain in some areas.

Potential storm surges between 4 and 7 feet (1.22 and 2.13 meters) above ground level were forecast around Matagorda. The warnings extended to the same coastal areas where Hurricane Harvey came ashore in 2017 as a Category 4 hurricane, far more powerful than Beryl’s expected intensity by the time the storm reaches landfall.

Those looking to catch a flight out of the area found a closing window for air travel as Beryl moved closer. Hundreds of flights from Houston’s two major commercial airports were delayed by midafternoon Sunday and dozens more canceled, according to FlightAware data.

In Corpus Christi, officials asked visitors to cut their trips short and return home early if possible. Residents were advised to secure homes by boarding up windows if necessary and using sandbags to guard against possible flooding.

The White House said Sunday that the Federal Emergency Management Agency had sent emergency responders, search-and-rescue teams, bottled water and other resources along the coast.

Several coastal counties called for voluntary evacuations in low-lying areas that are prone to flooding. Local officials also banned beach camping and urged tourists traveling on the Fourth of July holiday weekend to move recreational vehicles from coastal parks.

Beryl battered Mexico as a Category 2 hurricane last week, toppling trees but causing no injuries or deaths before weakening to a tropical storm as it moved across the Yucatan Peninsula.

Before hitting Mexico, Beryl wrought destruction in Jamaica, Barbados and St. Vincent and the Grenadines. Three people were reported dead in Grenada, three in St. Vincent and the Grenadines, three in Venezuela and two in Jamaica.

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Houston researchers secure funding for superconductivity project

fresh funding

Researchers at the Department of Physics at the University of Houston and Texas Center for Superconductivity have received a second-year funding from global leader in business of invention Intellectual Ventures to continue their work on exploring superconductivity,

The project, which is led by Paul C. W. Chu, T.L.L. Temple Chair of Science, professor of physics and founding director of the TcSUH and assistant professor of physics and a new TcSUH principal investigator Liangzi Deng, has been awarded $767,000 to date.

“Working with IV gives us the freedom known for scientific pursuit and at the same time provides intellectual guidance and assistance in accord with the mission goal,” Chu says in a news release.

The researchers are working on making superconductivity easier to achieve. At room temperature and normal atmospheric pressure is where the researchers are looking to simplify superconductivity. One finding from Chu and Deng’s team is called pressure-quench protocol, or PQP.The PQP will help maintain key properties (like superconductivity) in certain materials after the high pressure needed to create them is removed.

“Intellectual Ventures funded this research because Paul Chu is one of the acknowledged thought leaders in the area of superconductivity with a multi-decade track record of scientific innovation and creativity,” Brian Holloway, vice president of IV’s Deep Science Fund and Enterprise Science Fund, adds. “The work led by Chu and Deng on pressure quenching could result in game-changing progress in the field. We are very excited about the preliminary results from the first year and we look forward to continuing this collaboration.”

The project showed early success the first year, as the research used a special system to synthesize materials under high temperatures and pressure. The second-year projects will include the investigation of pressure-induced/enhanced superconductivity in cuprates and hydrides.

“If successful, UH will once again break the record for the highest superconducting Tc at atmospheric pressure,” Deng says in the release. “Additionally, we will collaborate closely with theorists to uncover the mechanism of PQP. Our research has far-reaching implications, with the potential to extend beyond superconductors to other material systems.”

Tesla posts surprise $2.17B third-quarter profit, up from a year ago

by the numbers

Tesla’s third-quarter net income rose 17.3 percent compared with a year ago on stronger electric vehicle sales, and an optimistic CEO Elon Musk predicted 20 percent to 30 percent sales growth next year.

The strong performance changed the trajectory of the year for the Austin, Texas-based company, which had seen sales and profits decline in the first two quarters.

In its letter to investors, Tesla predicted slight growth in vehicle deliveries this year, better than the 1.8 million delivered worldwide in 2023.

Tesla said Wednesday that it made $2.17 billion from July through September, more than the $1.85 billion profit it posted in the same period of 2023.

The earnings came despite price cuts and low-interest financing that helped boost sales of the company’s aging vehicle lineup during the quarter. It was Tesla’s first year-over-year quarterly profit increase of 2024, a year plagued by falling sales and prices.

Revenue in the quarter rose 7.8 percent to $25.18 billion, falling short of Wall Street analysts who estimated it at $25.47 billion, according to FactSet. Tesla made an adjusted 72 cents per share, soundly beating analyst expectations of 59 cents.

Shares in Tesla Inc. soared nearly 12 percent in trading after Wednesday’s closing bell.

On a conference call with analysts, Musk said the profit increase came despite a challenging environment for auto sales with still-high loan interest rates. “I think if you look at EV companies worldwide, to the best of my knowledge, no EV company is even profitable,” he said.

Musk qualified his prediction that Tesla would post 2025 vehicle sales growth of 20 percent to 30 percent by saying it could be changed by “negative external events.”

Earlier this month Tesla said it sold 462,890 vehicles from July through September, up 6.4 percent from a year ago. The sales numbers were better than analysts had expected.

The letter said that Tesla is on track to start production of new vehicles, including more affordable models, in the first half of next year, something investors had been looking for. The new vehicles will use parts from its current models and will be made on the same assembly lines as Tesla’s current model lineup, the letter said.

The new vehicles were not identified and the price was nebulous. Musk has said in the past the company is working on a car that will cost about $25,000, but said Wednesday that a new affordable vehicle would cost under $30,000 including government tax incentives.

Earlier this month, the company showed off a purpose-built two-seat robotaxi called “Cybercab” at a glitzy event at a Hollywood movie studio. Musk said it would be in production before 2027 and cost around $25,000.

By using parts from existing models and the current manufacturing system, Tesla won’t reach cost reductions that it previously expected using a new manufacturing setup.

Tesla said it reduced the cost of goods per vehicle to its lowest level yet, about $35,100.

The company’s widely watched gross profit margin, the percentage of revenue it gets to keep after expenses, rose to 19.8 percent, the highest in a year, but still smaller than the peak of 29.1 percent in the first quarter of 2022.

During the quarter, Tesla’s revenue from regulatory credits purchased by other automakers who can’t meet government emissions targets hit $739 million, the second highest quarter in company history.

Musk said Tesla's “Full Self-Driving” system is improving and would drive more safely than humans in the second quarter of next year. Despite the name, Teslas using “Full Self-Driving” cannot drive themselves, and human drivers must be ready to intervene at all times.

The company, he said, is offering an autonomous ride-hailing service to employees in the San Francisco Bay Area, but it currently has human safety drivers. It expects to start a robotaxi service for the public in California and Texas next year, he said.

Musk also conceded that it may not be possible to reach autonomous driving safety levels with older editions of “Full Self-Driving” hardware. If it can't do that, Tesla will upgrade computers in the older cars for free, he said.

The self-driving claims come just five days after U.S. safety regulators opened an investigation into the system's cameras to see in low-visibility conditions such as sun glare, fog and airborne dust. The probe raised doubts about whether the system will be ready to drive on its own next year.

The National Highway Traffic Safety Administration said in documents posted Friday that it opened the probe of 2.4 million Teslas after the company reported four crashes in low visibility conditions. In one, a woman who stopped to help after a crash on an Arizona freeway was struck and killed by a Tesla.

Investigators will look into the ability of “Full Self-Driving” to “detect and respond appropriately to reduced roadway visibility conditions."

Edward Jones analyst Jeff Windau said the earnings report and conference call showed that Tesla is making money on software, a business with high profit margins.

Still, he has a “hold” rating on the stock as the company moves toward robotics and autonomous vehicles. “They’ve got a lot of challenging goals out there,” he said.

3 things to know: Houston co. makes acquisition, EV expert's podcast to stream, and events not to miss

taking notes

Editor's note: Dive headfirst into the new week with three quick things to catch up on in Houston's energy transition.

Events not to miss

Put these Houston-area energy-related events on your calendar.

Big deal: Houston geology software provider makes strategic acquisition to expand platform

Houston-based ROGII has acquired a new software to integrate into its platform. Photo via ROGII.com

An advanced geosteering, geoscience, and drilling software solutions company based in Houston has announced the acquisition of of a software platform.

ROGII plans to acquire TerraSLS's TLog Mudlog Editor software, which is used to generate vertical, and horizontal striplogs for use by geologists. The acquisition “will significantly enhance ROGII's product offerings by providing operators and clients with unprecedented real-time connectivity to mudlogging data,” according to ROGII. Mudlogging is a process that involves examining the cuttings of rock brought to the surface by the drilling.

“Our acquisition of TLog marks another step forward in our mission to deliver the most advanced, real-time data solutions to the oil and gas industry,” CEO of ROGII Igor B. Uvarov says in a news release. “The integration of TLog’s capabilities into our Solo Cloud platform will revolutionize the way operators and mudlogging service companies interact, making mudlogging a truly real-time process and driving greater efficiency and collaboration.” Read more.

Listen in: Houston innovator drives EV adoption with unique approach to car leasing, smart tech

Chris George, United States co-lead at Octopus Electric Vehicles, joins the Houston Innovators Podcast. Photo courtesy of Octopus

Switching from a gas-powered car to an electric one can be a big change, but a Houston-based company has made things a lot easier for its customers.

Octopus Electric Vehicles US, a spinout of United Kingdom-based retail energy provider Octopus Energy, matches its users with their perfect EV lease and sets them up with smart electricity technology for at-home charging.

"We do a couple of really unique things that are not only first of its kind but really innovative," Octopus EV's US Co-Lead Chris George says on the Houston Innovators Podcast, pointing out specifically Octopus Energy's Intelligent Octopus, a smart feature for customers that automates energy usage to lower cost.

"We launched an Intelligent Octopus for EVs service. Instead of operating in a very narrow window — overnight — it operates dynamically," he continues. Read more.

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